Wednesday, November 14, 2018

Budgetary Voids - Michael Briguglio

Image result for poverty malta

Times of Malta, 12 November 2018

By now, all readers would have encountered government adverts on Budget 2019. Whether in newspapers, TV, radio or the internet, it seems that these adverts are watching us rather than the other way round. I wonder how much the government is spending on such propaganda.
In my training as a sociologist, I learned that when analysing discourse, it is important not only to read what is said but also to deconstruct this and to identify discursive voids. Indeed, I believe that Budget 2019 has quite a few. In this article I will highlight some issues that deal with workers’ needs and rights.
To begin with, Budget 2019 says next to nothing about pension reform. True, current pensioners are being given a cost of living increase of €2.17 in addition to the €2.33 awarded through the COLA mechanism. But any pensioner would tell you that this increase is likely to be neutralised by breakfast or one’s first outing.
In the meantime, we are living in an ageing society, meaning that the number of old age pensioners is likely to increase substantially in the years to come. The government is offering some incentives to those who can afford private pensions but not much else is on the table.
I believe that the government would have been more responsible had it at least agreed to discuss whether the current pensions model is sustainable in the longer run. Can the government assure people under 45 years of age that their national insurance contributions will give them decent pensions?
As regards cost of living adjustments, the government is constantly repeating the mantra that these are based on an agreed formula that goes back to 1992. True, this was a historic agreement between the government of the time and the social partners. But I would expect a government that prides itself as being ‘progressive’ to take heed of the constant appeal of workers’ trade unions and social scientists to look into its mechanism.
Is the basket of goods within it really representing today’s consumption patterns? Just think of what you can buy with the weekly compensation of €2.33. Yes, next to nothing.
When one reads government PR on the battery of budgetary initiatives, one should also see whether they are investing in a more robust workforce: a workforce that is equipped to encounter the opportunities and risks in today’s liquid society. One that is equipped to encounter the unknowns and unintended consequences of policy making. In this regard, Budget 2019 does not say much on the importance of qualitative measures such as the need to upskill workers and to have sustainable policies that discourage early school-leaving. This is even more important given the demand for skilled workers within the Maltese labour market. Let us keep in mind that sectors such as tourism are not being seen as career options, especially since they are frequently characterised by a race to the bottom through cheap labour. 
‘Newer’ job opportunities such as those within the information technology sector also require smarter investment to encourage students and workers to take up respective studying and training opportunities.
A notable discursive void in Budget 2019 is precarious work.
I invite readers to go back to the immediate years before the 2013 general election, when precariousness was a regular feature in the PR strategy of the then Labour Opposition. In 2018, the term has magically vanished from Labour-speak.
On the other hand, organisations such as UĦM – Voice of the Workers have been consistently speaking on precariousness, and they have backed their rhetoric with a commendable policy proposal.
This consists of the introduction of a nationwide online portal against precarious work. It would consist of standardised work contract requirements as per current legislation and its data would immediately be available to authorities, employers and workers to ensure that legislation is being adhered to. 
Budget 2019 also largely dodges what promises to be the mother of all social challenges in Malta today: rent and the purchase of property. But I will be writing about this in another article.